Shobunsha Publications, Inc. (TSE:9475) announced a private placement of 40 1st series unsecured corporate convertible bonds at ¥25,000,000 per bond for gross proceeds of ¥1,000,000,000 on August 15, 2014. Each bond has will be issued at par. Each bond has a conversion price of ¥645 million. The bonds have no interest. The bonds will mature on August 30, 2019 and will be fully redeemed on maturity. The company will issue the bonds to a new investor, which is an investment limited partnership, Whiz Asia Evolution Fund, a fund managed by Whiz Partners Inc. The company will also issue 40 units of warrants. The exercise period of warrants will be from September 1, 2014 to August 29, 2019. The transaction will take place through third party allocation. The payment date for the bonds is September 1, 2014. The company may issue 1,550,387 shares on conversion of bonds and warrants. The company will incur issuance expenses of ¥15,000,000 in this transaction which includes legal recompense expenses, warrant value calculation recompense expenses, third party appraiser recompense expenses related to anti-social forces, securities registration statement document creation expenses and change of registration expenses, and other expenses. The company will receive net proceeds of ¥985,000,000.

On September 1, 2014, Shobunsha Publications, Inc. closed the transaction.